Birmingham more lucrative than London for buy to lets, new study reveals

With high rents and a buoyant rental market, London is often considered as a buy to let hot spot. But a study by Move With Us has revealed that Birmingham, Kent and Merseyside actually offer far more attractive rent yields than many parts of London.

Some areas of the capital only deliver an average of 4 per cent per annum, chiefly because property is so expensive in the first instance. The report found that areas on the edge of Greater London represented better opportunities, because people can still commute to central London and enjoy the social possibilities of the capital from these locations, but properties are more affordable to invest in.

In London the best yielding postcode areas are, according to the study:

The report also found that certain rural areas only presented yields of 2 per cent. Among these were rural Devon and that county’s two national parks, Dartmoor and Exmoor; the Brecon Beacons; the Yorkshire Dales; the Peak District.